Category Archives: Business/Economics

Business/Economics, International

What Economic Recovery? Despite making a profit Nissan will cut production, blames inflation!

21 June 2012, Japan’s Nissan Motor is cutting production in Japan.

Starting next month Nissan will end production of four models of cars in Japan. It amounts to 15% of Nissan’s Japanese production.

The move comes after Nissan reported a profit of $4.29 billion USD for the Japanese year ending in March.  Company officials say the production cut is meant to offset surging production costs, and declining car sales in Japan.

The rising value of the yen is also making it more difficult to sell cars made in Japan to other countries.

Nissan officials say they will try to keep workers employed by assigning new jobs to them.

 

Business/Economics, International, U.S.

Government Idiots: Japan oil industry says U.S. & EU oil sanctions against Iran will not affect global oil supply!

“For the time being we will be able to continue smoothly transporting Iranian oil to Japan. I would like to thank the government and all parties concerned for their efforts.”-Yasushi Kimura, Petroleum Association of Japan

21 June 2012, Yasushi Kimura, president of the Petroleum Association of Japan, basically said the U.S. and European oil sanctions against Iran are impotent!

Kimura based his conclusion on the fact that there is plenty of oil supply, and that because of the continued downward spiral of the international economy global demand for oil will drop.

The fact that the United States exempted several countries from their oil sanctions, including Japan, also proves that the U.S. sanctions against Iran are nothing but hot air!

So what were U.S. & European leaders trying to accomplish with their impotent oil sanctions against Iran?

Business/Economics, International

Corporate Evil & What Economic Recovery? Downloaders blamed for downturn, can now expect to spend two years in prison if caught!

20 June 2012, the Upper House of the Japanese Diet passed a tough new anti-downloading law. If your caught ‘illegally’ downloading music or movies you could pay a $25,000 USD fine and/or spend two years in prison!

The law was pushed by the corporate music and movie industry.  The Recording Industry Association of Japan is blaming their economic downturn on downloaders!  I don’t think so!  The new draconian anti-downloading law goes into effect in October 2012.

Business/Economics, International, Technology, U.S.

Global Economic War: China cuts back on Rare Earths. Expect your new cell phone to cost more!

20 June 2012, China claims to provide 90% of rare earth minerals to the global high tech industries.  Now they’re holding back.

Rare earths are necessary for the high tech gadgets we have.  U.S. and European officials criticized China saying their mining cut backs will cause prices to skyrocket.

China claims they’re cutting back because the mining operations are causing environmental damage.  But could it be retaliation for the Obama administration recently imposing ridiculously high tariffs on Chinese solar power products?

By the way, the tariffs quite possibly were the final nails in the coffin for Hoku Materials in Pocatello, Idaho, which could have provided hundreds of good paying jobs! Thank you Mr. President!

Business/Economics, International, U.S.

Global Economic War: Japan government to insure ships carrying Iraninan oil!

On 1 July 2012, the European Union’s sanctions against Iran kick in.  This includes European shipping insurers (who dominate the market) ending insurance on ships carrying Iranian oil.

20 June 2012, the Japanese Diet has passed a law that allows the government to cover Japanese tanker ships transporting oil from Iran.

The law was unanimously passed by the Upper house, and will provide up to $7.6 billion USD in coverage.  Many Japanese insurance companies expressed concern for providing enough insurance due to the warmongering by the U.S. and EU against Iran.

The government insurance policy goes into effect several days before the EU sanctions on 1 July.

Business/Economics, International, U.S.

What Economic Recovery? As I warned, Cosmetic prices up, as are prices for personal care products. No more cow dung for toothpaste!

“Cosmetics were very expensive back then, and a single product could cost the equivalent of a month’s salary for many office ladies.”-Chen Linlin, L’Oréal China

Linlin is talking about the not so good economic decade of the 1930s, but it looks like history is repeating for people (in North America and Europe) who just have to have makeup.

Back on 4 July 2011, I posted how Estee Lauder Group was the first cosmetic company to jack up their prices, and that it would be a trend for the whole industry.

Recently a Forbes article showed that Estee Lauder and L’Oréal are making bank in the Chinese market.  China’s internet cosmetics market is now nine times bigger than that of the United States, a 200% increase since 2006!

Last year cosmetics makers claimed that labor costs, and the costs of resources were the reasons for price increases.  Now, with China draining the supply of cosmetics, demand will ensure that prices will continue to go up.

Don’t blame China only, blame South America!  According to a NASDAQ report, the biggest market place for Avon (AVP) products is not the home base of the United States, but South America!

But, the NASDAQ report inadvertently reveals a couple of hidden reasons for the increase in your makeup prices: “AVP has turned its toehold in Latin America into a $1 billion-a-quarter business by spending a fortune on marketing and retailer incentives — if not the outright ‘bribes’ it is accused of distributing in Asia.”

However, when it comes to cosmetics that’re supposed to stop aging, it’s vain women in the United States that still take first place when it comes to anti-aging skin care products.

According to the research company, Mintel, the anti-aging skin care market in the U.S. leads the world with $2.3 billion USD in 2011 sales!

But it doesn’t stop with makeup.  One of my daughters told me that the shampoo she uses is now $2.00 USD more than it was a couple of years ago.

According to reports, the booming economy in India is creating a huge demand for personal care products that most rural people in India didn’t have access to: “In the past we used to use sticks or cow dung ash to clean our teeth. But now, just like urban people, we use a toothbrush and toothpaste. We use shampoo and expensive oils and creams. We have everything in our village that people have in towns and cities.”-Arun Mondal, a rural villager

In Canada the demand for body soap that does not contain harsh fragrances, therefore more environmentally friendly, has a Canadian soap manufacture scrambling and expanding into the retail market.

Paul Gillepsie, owner of Island Essentials wholesale, has so much business that he’s opened a retail store in Victoria, and will expand into Alberta. In 2004 his soap products were carried in 150 Canadian stores, now they’re sold in more than 250 stores.

But can we blame rising prices on rising demand in countries like Canada, China, India, and the countries of South America, and our own United States?

According to the U.S. Bureau of Labor Statistics, the cost to U.S. consumers of personal care products has been skyrocketing ever since the 1960s! In the 1960s, the Consumer Price Index (CPI) for personal care products was just under 40.  Now, in 2012, it’s at 161 and climbing.

However, looking at the Producer Price Index (PPI), aka U.S. wholesale prices,  shows that costs of intermediate goods (which are necessary for production of finished goods) have gone down from January 2011 to January 2012!

Intermediate goods were at 6.2% in January 2011, and were at 4.2% by January 2012, a 2% drop.  The cost of finished goods were at 3.6% in January 2011, but 12 months later were at 4.1% in January 2012, a half percent increase.

What’s important in the January to January comparison is what happened in the middle of 2011.  The costs of intermediate goods pegged at 11.5% in July 2011!  For finished goods the costs hit 7.1% twice, once in May and once in July 2011.

The spikes in intermediate and finished goods mirrors the cost of raw materials (aka crude materials). Overall, raw materials began January 2011 at 10.9%, and ended the year down more than 6%, at 4.5% in January 2012.  Again, the real killer was the spike in costs in the middle of 2011, topping out at 26.1% in June!

We in the United States are still paying for those spikes in the production costs of making the personal care products we can’t be without (cow dung for toothpaste anyone?).  However, the overriding decider of retail costs is still demand for such products, which seems to increase year after year, exponentially.

 

 

Business/Economics, U.S.

World War 3: Murder rate in Chicago proof of Civil War; more deaths than in Afghanistan! Obama needs 200 Chicago cops for protection!

“Over 80% of shootings occur outdoors and in public places.”-Roseanna Ander, University of Chicago Crime Lab

18 June 2012, according to data from the U.S. Department of Defense (DoD), and Federal Bureau of Investigation (FBI), more people have been killed in just one U.S. city, than all of the U.S. personnel killed in Afghanistan since the U.S. invasion in 2001!

The DoD claims just over 2,000 personnel have been killed in Afghanistan between the invasion in 2001 to just last week (iCasualties.org says 2012 have been killed).  The FBI says more than 5,000 people have been killed in the U.S. city of Chicago, during the same time!

On 15 June 2012, Chicago Sun-Times reported that from the beginning of 2012 at least 228 people were killed, and the murder rate jumped 35% since last year!

According to iCasualties.org, U.S. personnel deaths in Afghanistan, since the beginning of 2012, is at 203 (and some of these deaths are not combat related).   So U.S. troops are slightly safer in Afghanistan than in Chicago!

Why the seeming civil war in Chicago? Blame the economy: “Not surprisingly, they’re in poorer neighborhoods…”-Roseanna Ander, University of Chicago Crime Lab

According to Chicago Sun-Times the city “…administration has cut anti-violence programs targeting some of Chicago’s poorer neighborhoods by $9 million.”

President Obama, and his family attended a wedding in Chicago on 16 June 2012.  They needed an escort of as many as 200 Chicago cops!   If that’s not a sign of a war zone then what is?

And by the way, Chicago city officials were told that the federal government is not paying for the extra police security!  Like I said, blame the economy!

And what about incompetent city officials?  Chicago cops are understaffed, yet city officials would rather pay overtime for cops working on their days off, than hire more cops.  That doesn’t make economic sense, unless they’re trying to avoid paying out benefits for those new cops. Even then, in the long run it’ll cost the city more, because the civil war will only escalate.

Business/Economics, International, Technology, U.S.

World War 3: Terror Drone update, 04 June – 17 June. UAV War an attempt to save U.S. economy? Using drones like doing drugs! U.S. mainstream media lies; drones will be used to spy on ‘mericans! Space Drone succesful. Drone war expanding!

17 June 2012

“After consultation with the Taliban Shura, servant of Mujahideen in North Waziristan Agency Hafiz Gul Bahadur has decided that there will be a ban on polio campaign as long as drone strikes are not stopped.”-public statement by the people of 17 towns in Pakistan’s North Waziristan

People living in North Waziristan refusing to let international medical personnel in to administer vaccines until U.S. drone strikes stop. The people also claim the medical personnel are spying for the United States. Apparently the doctor who got DNA samples from Osama bin Laden did so under the pretext that he was administering vaccine.

Some people believe the vaccination program is meant to sterilize them.

According to a Stars & Stripes article, President Obama’s increased use of terror drones has saved hundreds of jobs for one National Guard unit. The Springfield Air National Guard Base (Springfield-Beckley Municipal Airport), in Ohio, retained 804 local jobs by becoming a dedicated terror drone base. However, ironically, current budget proposals from the Obama administration are threatening as many as 1,000 Ohio Guard jobs, including 47 positions at the terror drone base.

According to the Swiss Basler Zeitung, the U.S. is expanding their fleet of UAVs by buying more drones, and drone engines, made by Switzerland’s Pilatus Aircraft Ltd.   The Swiss newspaper also said U.S. drone operations in Africa are being conducted from Swiss made Pilatus PC-12 manned aircraft.

Covert U.S. air bases are reportedly in countries such as Mauritania, Burkina Faso, Ethiopia, Djibouti, Uganda, South Sudan, Kenya, and Seychelles.

Afghan Mujahideen claim to have shot down a U.S. drone in Afghanistan’s Paktia Province.  U.S. led ISAF/NATO claim the drone crashed due to technical problems.

16 June 2012

“These [drone] strikes will ultimately fail to influence the outcome of an Afghan settlement, but they have already succeeded in making the United States more hated in Pakistan than India.”-Michael Krepon, South Asian Program at the Stimson Center

People living in Garbaherey town, in Somalia’s Gedo region, claim the U.S. launched drone strikes, killing at least 35 people.

Despite several articles and reports by the main stream U.S. news media, downplaying concerns over the use of drones to spy on U.S. citizens (several said outright that it was not true), here’s what the Christian Science Monitor said: “By some government estimates, as many as 30,000 drones could be part of intelligence gathering and law enforcement here in the United States within the next ten years. Operated by agencies down to the local level, this would be in addition to the 110 current and planned drone activity sites run by the military services in 39 states, reported this week by the Federation of American Scientists (FAS), a non-government research project.”

After a 14 month top secret mission, a space UAV returned to Vandenberg Air Force Base in California.  It was revealed on 16 June, but the landing took place on 9 June.

It’s called the X-37B Orbital Test Vehicle, it was originally designed to test new space shuttle technologies, but when the NASA budget cuts scrapped the project the Pentagon took it over, turning it into a super high altitude drone.  Exactly what the U.S. Department of Defense is doing with it is still classified!

15 June 2012

It was revealed by Los Angeles Times, that the Pentagon will be testing individual assassination drones in Afghanistan next month.  The UAVs can be carried in the backpacks of special forces troops. They are called Switchblade mini-UAVs.

Two U.S. Navy classified drones (aka X-47B) flew test missions from Edwards AFB in California.  They were spotted by civilians, who promptly reported them as alien space craft!

U.S. President Barack Obama admitted, in an open letter to Congress, that the United States is at war in Yemen and Somalia, the main weapon of choice being the terror drone.

14 June 2012

U.S. drone strike kills at least three people in Pakistan.  Two missiles were fired at a busy shop in a market place in Miranshah: “When the first missile hit the building, I heard cries for help and ran towards it…..When they started rescue work, another missile hit.”-Witness

Russia and Israel to jointly develop new drones: “We are negotiating with Israel. Our aim is to persuade them to start technological cooperation and to develop a product that will be used in both countries, and could also be sold to third countries.”-Dmitry Rogozin, Deputy Prime Minister of Russia

13 June 2012

U.S. drone strike kills as many as 27 people in Shabwa Province of Yemen.  CNN said that the U.S. launched at least 14 drone strikes over a two day period.

U.S. drone strike kills four people in North Waziristan, Pakistan.

A global survey by the Pew Research Center showed that the United States is increasingly alone regarding terror drone operations.  People in 17 of 21 countries surveyed are against the U.S. drone wars.  However, the survey showed warmongering ‘mericans (62%) love the drone wars!

Venezuela revealed a recon drone, jointly built with Iran.  It’s called Arpia-001 (Harpy-001).

12 June 2012

Israeli Defense Forces (IDF) admitted that their drones are being hacked!  Officials ordered new encryption of their new Skylark I UAVs after they found out that video data being sent back from older drones were being intercepted.

The IDF also revealed that Lebanon’s Hezbollah wiped out an Israeli navy commando assault, back in 1997, after they hacked an Israeli spy drone!  It’s called the Shayetet Disaster inside the Israeli military. 11 members of Israel’s Flotilla 13 unit were killed when they were ambushed by Hezbollah.

Royal Australian military officials in Afghanistan state that using Israeli made drones is like doing drugs: “The capability? It’s like crack cocaine, a drug, for our guys involved.”-Wing Commander Jonathan McMullan, RAAF Heron drone commander, Afghanistan

Australia gets the Heron drone from Canada, who in turn leases them from Israel.

U.S. Marine General John Allen order an end to drone strikes on houses in Afghanistan!

11 June 2012

“Obama is authorizing murder on a weekly basis, with a discussion of the guilt or innocence of candidates for the ‘kill list’ being resolved in secret on ‘Terror Tuesday’ teleconferences with administration officials and intelligence officials.”-Michael Boyle, former adviser to Obama’s counter terrorism group July 2007-November 2008

USAF General, Norton Schwartz, announced that U.S. drones will be deployed in South America and the Pacific.  They will be used to bolster the U.S. combat commands in those regions, known as U.S. Southern Command, and U.S. Pacific Command.

06 June 2012

A U.S. drone strike in Afghanistan killed at least 18 people attending a wedding.  U.S. military officials apologized several days later.

Israeli officials refused to apologize for killing nine Turkish citizens, in the 2010 Gaza blockade runner incident.  This after it was revealed that the IDF knew the activists on the Turkish ship were not armed, because their own Israeli drone recon mission showed they were not armed!

04 June 2012

U.S. drone strike kills at least 15 people in North Waziristan, Pakistan.  U.S. officials claim one of those killed was al Qaeda’s second-in-command (how many times are we gonna hear that claim?).

Business/Economics, International, U.S.

What Economic Recovery? Western style Crony (Mitt Romney style) Capitalism to blame for increased mental illness, and suicide in Japan!

17 June 2012, Japan’s Ministry of Labor admitting that workplace stress is causing increased mental illness and even suicide.

Japan’s corporate world mirrors that of the United States.

From March 2011 to March 2012 (Japan’s year) 325 people qualified for worker’s compensation due to mental illness caused by the workplace.  That’s up 17 from 2010.

60 of those workers attempted to kill themselves, or succeeded in killing themselves.

Don’t blame the 11 March 2011 disasters, only 20 of those 325 workers were directly connected with the massive quake & tsunamis.

16% due to excessive work loads

15% due to severe accidents

12% due to workplace harassment/bullying

Another major factor is that Japanese companies are reducing staff, mainly those employees with the most experience, in order to save money.  The problem is that the majority of employees are now younger workers who get very little training, and, are being asked to take on the same responsibilities as the more experienced workers who were laid off!  (sound familiar to you workers of the United States of America?)

Business/Economics, Idaho, International, Technology, U.S.

What Economic Recovery? Solar company Hoku Corporation stock value less than 20 cents! Do Not Trade warning issued!

On 8 June 2012, the value of Hoku Corporation stock settled at 15 cents per share, after hitting 20 cents that morning.  Some stock trading media outlets issued a Do Not Trade warning for Hoku (NASDAQ: HOKU).

Hoku Corp owns failed Hoku Materials in Pocatello, Idaho.  Hoku Corp is a subsidiary of Tianwei New Energy Holdings, which is an affiliate of China South Industries Group Corporation (CSGC).

Ever since the end of May, Hoku stock has been struggling to get above 20 cents. Wikinvest says Hoku’s 52 week average is only 7 cents per share!  At last check, 13 June 2012, Hoku Corp was trading between 16 and 17 cents per share.

IDAHO’S HOKU MATERIALS ABOUT TO BE FINISHED OFF BY LAWSUITS, LAYS OFF 100 MORE EMPLOYEES IN BANNOCK COUNTY!